Wausau Paper Narrowing Focus to Tissue, Mulling Options for Specialty Papers Business
Jan. 11, 2013 (Press Release) - Wausau Paper today announced that it commenced a process last year to identify strategic alternatives for its Paper Segment that will position the Company to focus its management efforts on continuing the growth of its highly successful tissue business.
In early 2012 the Company exited its legacy Print & Color business and narrowed the focus of its Paper Segment to specialty products with leading domestic and global positions in food, industrial and tape markets. Since that time the Company retained financial advisors to assist the Company’s board of directors in the evaluation of alternatives for the remainder of the Paper Segment.
The Company recently began the start-up phase of a $220 million tissue capacity investment at its Harrodsburg, Kentucky site. The project will accelerate growth of its Tissue Segment and further establish its “green leadership” position in away-from-home tissue markets through improved product performance and the introduction of new-to-the-market premium recycled products.
“Our Tissue Segment has demonstrated strong profitability and exceptional growth over the last decade,” stated Hank Newell, president & CEO. “We believe our shareholders’ interests will be best served through a singular focus on successfully marketing the capacity and capability of our new tissue machine and sustaining the historically strong growth and profit performance of our tissue business.”
The Company cannot provide assurance of the timing, terms or completion of a transaction related to the strategic alternatives for the Paper Segment.
Wausau Paper produces and markets specialty papers for industrial, commercial and consumer end markets as well as a complete line of away-from-home towel and tissue products. The company is headquartered in Mosinee, Wisconsin.
SOURCE: Wausau Paper